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    Exam 30: Market Failure Externalities Public Goods and Asymmetric Information
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    A Consequence of a Negative Externality Is That Social Costs
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A Consequence of a Negative Externality Is That Social Costs

Question 40

Question 40

Multiple Choice

A consequence of a negative externality is that social costs __________ private costs, and the socially optimal level of output __________.


A) equal; is not equal to social costs or private costs
B) do not equal; is obtained
C) do not equal; is not obtained
D) equal; is obtained
E) equal; is not obtained

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